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Compound interest – Moneywise Global
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Compound interest

According to Albert Einstein (Heard of him? He was an old smart guy.) compound interest is the eighth wonder of the world. In essence it is interest on interest. If you invest $100 and it earns 10% interest you have $110. This amount is ‘compounded’ when the 10% interest is now calculated on the total amount ($110) and becomes $121. If we do this again it is $133.

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